Greek Loans Threatened by Missed Reforms, Budget Shortfall

Greece and its international lenders — a troika of the International Monetary Fund, the European Commission and the European Central Bank — have not yet reconciled their expectations regarding the 2014 Greek budget. The Greek government estimates a €500 million gap, while the troika believes the gap is €2 billion. In addition, the Greek government has not yet met reform milestones for downsizing the civil service and privatizing utilities. Release of €1 billion in promised loans is contingent on those reforms being met.